Citizens released their annual M&A outlook and optimism is hitting a six-year high. About 58% of middle-market and PE leaders view the current environment as strong. Private equity confidence saw a massive shift, jumping from 48% in Q1 2025 to 86% by the end of the year. Firms are sitting on dry powder and looking to deploy it as the economic picture clears up and rate cuts seemingly come into play. Key details from the survey: - 90% of PE leaders expect deal flow to increase or hold steady - AI assets are a top target for 39% of firms - Most buyers plan to move in the first half of the year to avoid midterm election uncertainty